Download or read book Decline In Wage Inequality In Brazil written by Sergio Firpo and published by . This book was released on 2019 with total page 38 pages. Available in PDF, EPUB and Kindle. Book excerpt: In the last decades, Brazil experienced a historical decline in its wage inequality level, particularly in the first decade of the 21st century. This paper reviews the literature that attempted to explain the observed pattern. It considers mechanisms related to the supply and demand for labor, as well as institutional factors. The paper argues that the favorable economic environment in the period, combined with increases in the minimum wage, higher formalization, and a larger supply of skilled workers led to a compression in wages. However, some aspects of the decline in wage inequality are still unanswered, such as the causes behind a reduction in the experience premium and interfirm payment heterogeneity, as well as the exact role of technological changes. The paper concludes by discussing future trends in wage inequality in Brazil.

Download or read book Firms and the Decline in Earnings Inequality in Brazil written by Jorge Alvarez and published by International Monetary Fund. This book was released on 2017-12-14 with total page 59 pages. Available in PDF, EPUB and Kindle. Book excerpt: We document a large decrease in earnings inequality in Brazil between 1996 and 2012. Using administrative linked employer-employee data, we fit high-dimensional worker and firm fixed effects models to understand the sources of this decrease. Firm effects account for 40 percent of the total decrease and worker effects for 29 percent. Changes in observable worker and firm characteristics contributed little to these trends. Instead, the decrease is primarily due to a compression of returns to these characteristics, particularly a declining firm productivity pay premium. Our results shed light on potential drivers of earnings inequality dynamics.

Download or read book Inequality in Brazil A Regional Perspective written by Carlos Góes and published by International Monetary Fund. This book was released on 2017-10-31 with total page 34 pages. Available in PDF, EPUB and Kindle. Book excerpt: In this study, we document the decline in income inequality and a convergence in consumption patterns in Brazilian states in a new database constructed from micro data from the national households’ survey. We adjust the state-Gini coefficients for spatial price differences using information on households’ rental prices available in the survey. In a panel regression framework, we find that labor income growth, formalization, and schooling contributed to the decline in inequality during 2004-14, but redistributive policies, such as Bolsa Família, have also played a positive role. Going forward, it will be important to phase out untargeted subsidies, such as public spending on tertiary education, and contain growth of public sector wages, to improve budgetary efficiency and protect gains in equality.

Download or read book Inequality in the Developing World written by Carlos Gradín and published by Oxford University Press. This book was released on 2021 with total page 373 pages. Available in PDF, EPUB and Kindle. Book excerpt: Inequality has emerged as a key development challenge. It holds implications for economic growth and redistribution and translates into power asymmetries that can endanger human rights, create conflict, and embed social exclusion and chronic poverty. For these reasons, it underpins intense public and academic debates and has become a dominant policy concern within many countries and in all multilateral agencies. It is at the core of the 17 goals of the UN 2030 Agenda for Sustainable Development. This book contributes to this important discussion by presenting assessments of the measurement and analysis of global inequality by leading inequality scholars, aligning these to comprehensive reviews of inequality trends in five of the world's largest developing countries - Brazil, China, India, Mexico, and South Africa.

Download or read book Firms and the Decline in Earnings Inequality in Brazil written by Jorge Alvarez and published by . This book was released on 2019 with total page 60 pages. Available in PDF, EPUB and Kindle. Book excerpt: We document a large decrease in earnings inequality in Brazil between 1996 and 2012.Using administrative linked employer-employee data, we fit high-dimensional worker and firm fixed effects models to understand the sources of this decrease. Firm effects account for40 percent of the total decrease and worker effects for 29 percent. Changes in observable worker and firm characteristics contributed little to these trends. Instead, the decrease isprimarily due to a compression of returns to these characteristics, particularly a declining firm productivity pay premium. Our results shed light on potential drivers of earnings inequality dynamics.

Download or read book Earnings Inequality and the Minimum Wage written by Niklas Engbom and published by . This book was released on 2021 with total page 124 pages. Available in PDF, EPUB and Kindle. Book excerpt: We show that a rise in the minimum wage accounts for a large decline in earnings inequality in Brazil since 1994. To this end, we combine rich administrative and survey data with an equilibrium model of the Brazilian labor market. Our results imply that the minimum wage has far-reaching spillover effects on wages higher up in the distribution, accounting for one-third of the 25.9 log point fall in the variance of log earnings in Brazil since 1994. At the same time, the minimum wage’s effects on employment and output are muted by reallocation of workers toward more productive firms.

Download or read book Trade Liberalization Employment Flows and Wage Inequality in Brazil written by Francisco H. G. Ferreira and published by . This book was released on 2007 with total page 64 pages. Available in PDF, EPUB and Kindle. Book excerpt: Using nationally representative, economywide data, this paper investigates the relative importance of trade-mandated effects on industry wage premia; industry and economywide skill premia; and employment flows in accounting for changes in the wage distribution in Brazil during the 1988-95 trade liberalization. Unlike in other Latin American countries, trade liberalization appears to have made a significant contribution toward a reduction in wage inequality. These effects have not occurred through changes in industry-specific (wage or skill) premia. Instead, they appear to have been channeled through substantial employment flows across sectors and formality categories. Changes in the economywide skill premium are also important.

Download or read book Paths of Inequality in Brazil written by Marta Arretche and published by Springer. This book was released on 2018-07-04 with total page 371 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book presents multidisciplinary analyses of the historical trajectories of social and economic inequalities in Brazil over the last 50 years. As one of the most unequal countries in the world, Brazil has always been an important case study for scholars interested in inequality research, but in the last few decades has brought a new phenomenon to renew researchers’ interest in the country. While the majority of democracies in the developed world have witnessed an increase in income inequality from the 1970s on, Brazil has followed the opposite path, registering a significant reduction of income inequality over the last 30 years. Bringing together studies carried out by experts from different areas, such as economists, sociologists, demographers and political scientists, this volume presents insights based on rigorous analyses of statistical data in an effort to explain the long term changes in social and economic inequalities in Brazil. The book adopts a multidisciplinary approach, analyzing the relations between income inequality and different dimensions of social life, such as education, health, political participation, public policies, demographics and labor market. All of this makes Paths of Inequality in Brazil – A Half-Century of Change a very valuable resource for social scientists interested in inequality research in general, and especially for sociologists, political scientists and economists interested in the social and economic changes that Brazil went through over the last two decades.

Download or read book The Short Term Impact of COVID 19 on Labor Markets Poverty and Inequality in Brazil written by International Monetary Fund and published by International Monetary Fund. This book was released on 2021-03-05 with total page 36 pages. Available in PDF, EPUB and Kindle. Book excerpt: We document the short-term impact of the COVID-19 pandemic on the Brazilian labor market focusing on employment, wages and hours worked using the nationally representative household surveys PNAD-Continua and PNAD COVID. Sectors most susceptible to the shock because they are more contact-intensive and less teleworkable, such as construction, domestic services and hospitality, suffered large job losses and reductions in hours. Given low income workers experienced the largest decline in earnings, extreme poverty and the Gini coefficient based on labor income increased by around 9.2 and 5 percentage points, respectively, due to the immediate shock. The government’s broad based, temporary Emergency Aid transfer program more than offset the labor income losses for the bottom four deciles, however, such that poverty relative to the pre-COVID baseline fell. At a cost of around 4 percent of GDP in 2020 such support is not fiscally sustainable beyond the short-term and ended in late 2020. The challenge will be to avoid a sharp increase in poverty and inequality if the labor market does not pick up sufficiently fast in 2021.

Download or read book The Rise and Fall of Brazilian Inequality 1981 2004 written by Phillippe George Leite and published by World Bank Publications. This book was released on 2006 with total page 40 pages. Available in PDF, EPUB and Kindle. Book excerpt: "Measured by the Gini coefficient, income inequality in Brazil rose from 0.57 in 1981 to 0.63 in 1989, before falling back to 0.56 in 2004. This latest figure would lower Brazil's world inequality rank from 2nd (in 1989) to 10th (in 2004). Poverty incidence also followed an inverted U-curve over the past quarter century, rising from 0.30 in 1981 to 0.33 in 1993, before falling to 0.22 in 2004. Using standard decomposition techniques, this paper presents a preliminary investigation of the determinants of Brazil's distributional reversal over this period. The rise in inequality in the 1980s appears to have been driven by increases in the educational attainment of the population in a context of convex returns, and by high and accelerating inflation. While the secular decline in inequality, which began in 1993, is associated with declining inflation, it also appears to have been driven by four structural and policy changes which have so far not attracted sufficient attention in the literature, namely sharp declines in the returns to education; pronounced rural-urban convergence; increases in social assistance transfers targeted to the poor; and a possible decline in racial inequality. Although poverty dynamics since the Real Plan of 1994 have been driven primarily by economic growth, the decline in inequality has also made a substantial contribution to poverty reduction. "--World Bank web site.

Download or read book Wage Inequality in Latin America written by Julián Messina and published by World Bank Publications. This book was released on 2017-12-28 with total page 292 pages. Available in PDF, EPUB and Kindle. Book excerpt: What caused the decline in wage inequality of the 2000s in Latin America? Looking to the future, will the current economic slowdown be regressive? Wage Inequality in Latin America: Understanding the Past to Prepare for the Future addresses these two questions by reviewing relevant literature and providing new evidence on what we know from the conceptual, empirical, and policy perspectives. The answer to the fi rst question can be broken down into several parts, although the bottom line is that the changes in wage inequality resulted from a combination of three forces: (a) education expansion and its eff ect on falling returns to skill (the supply-side story); (b) shifts in aggregate domestic demand; and (c) exchange rate appreciation from the commodity boom and the associated shift to the nontradable sector that changed interfi rm wage diff erences. Other forces had a non-negligible but secondary role in some countries, while they were not present in others. These include the rapid increase of the minimum wage and a rapid trend toward formalization of employment, which played a supporting role but only during the boom. Understanding the forces behind recent trends also helps to shed light on the second question. The analysis in this volume suggests that the economic slowdown is putting the brakes on the reduction of inequality in Latin America and will likely continue to do so—but it might not actually reverse the region’s movement toward less wage inequality.

Download or read book Tackling Inequalities in Brazil China India and South Africa The Role of Labour Market and Social Policies written by OECD and published by OECD Publishing. This book was released on 2010-10-21 with total page 311 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book focuses on the role of growth and employment/unemployment developments in explaining recent income inequality trends in Brazil, China, India and South Africa, and discusses the roles played by labour market and social policies in both shaping and addressing these inequalities.

Download or read book Declining Inequality in Latin America written by Luis Felipe Lopez-Calva and published by Rowman & Littlefield. This book was released on 2010-08-01 with total page 265 pages. Available in PDF, EPUB and Kindle. Book excerpt: A Brookings Institution Press and United Nations Development Programme publication Latin America is often singled out for its high and persistent income inequality. Toward the end of the 1990s, however, income concentration began to fall across the region. Of the seventeen countries for which comparable data are available, twelve have experienced a decline, particularly since 2000. This book is among the first efforts to understand what happened in these countries and why. Led by editors Felipe López-Calva and Nora Lustig, a panel of distinguished economists undertakes in-depth analyses of Argentina, Brazil, Mexico, and Peru. In addition, they provide essential background in the form of overviews of the relationship between markets and inequality, the political economy of redistribution, and the evolution of income inequality in the advanced industrialized economies. Two factors account for much of the decline in inequality: a decrease in the wage gap between skilled and low-skilled labor, and an increase in government transfers targeted to the poor. Thanks to the timeliness and sophistication of these essays, Declining Inequality in Latin America is likely to become a standard reference in its field.

Download or read book Firms and the Decline in Earnings Inequality in Brazil written by Jorge Alvarez and published by International Monetary Fund. This book was released on 2017-12-14 with total page 59 pages. Available in PDF, EPUB and Kindle. Book excerpt: We document a large decrease in earnings inequality in Brazil between 1996 and 2012. Using administrative linked employer-employee data, we fit high-dimensional worker and firm fixed effects models to understand the sources of this decrease. Firm effects account for 40 percent of the total decrease and worker effects for 29 percent. Changes in observable worker and firm characteristics contributed little to these trends. Instead, the decrease is primarily due to a compression of returns to these characteristics, particularly a declining firm productivity pay premium. Our results shed light on potential drivers of earnings inequality dynamics.

Download or read book Social Inequalities in Brazil written by Laura Jakobeit and published by GRIN Verlag. This book was released on 2011-02-22 with total page 8 pages. Available in PDF, EPUB and Kindle. Book excerpt: Social equality is essential for every country, not only as an end itself, but also as tool for promoting economic growth (Skidmore, 2004).Brazil is one of the most unequal countries in the world, with a Gini Index of 0.567 in 2005 (CIA, 2010). Although this is still high and leaves Brazil the 10thmost unequal country out of 134, the inequalities are improving significantly (in 1998 the Index was 0.607). This essay will focus on two questions: What has caused the striking inequalities in Brazil? Why did these inequalities improvein the recent years?

Download or read book International Trade and Wage Inequality written by Lucas Squarize Chagas and published by . This book was released on 2023 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: We study the effect of the bilateral trade integration with China on wage inequality in Brazil. Previous studies have documented the contribution of trade opening to the decline in inequality since the 1990s, driven primarily by cross-firm pay differences. We find a reduction in wage inequality over the 2000s, parallel to China's accession to the WTO. Our reduced-form analysis suggests that some firms are harmed by import competition, while others profit from increased exports and cheaper inputs. We rationalize these patterns by extending the theoretical framework of Helpman et al. (2017) to include sector heterogeneity in trade exposure and firm-level selection into imports. Our calibrated model indicates that the rise of China led to a reduction in cross-firm wage inequality in Brazil since the cross-sectoral effect--which tends to benefit low-wage sectors and hurt high-wage sectors--dominates the within-sector increase in inequality due to a rise in importers and exporters.

Download or read book Growth and Inequality written by Alexandre de Freitas Barbosa and published by Cambridge University Press. This book was released on 2017-11-08 with total page 378 pages. Available in PDF, EPUB and Kindle. Book excerpt: Inequality is a global concern, for its social and human consequences, and its impact on the pace and pattern of economic growth. In India and Brazil, this issue has received increasing attention in recent years. In Brazil, inequality grew until the 1980s, when it reached extreme levels, but has since been declining, especially during the first decade of the twenty-first century. In India, inequality showed little change up to the 1980s, but has since been rising. These differences result from a variety of economic, social and political factors, which are examined in depth in this comparative study. The book examines inequality in overall distributions of income and expenditure, and disparities across gender, region, caste, race, and access to education. It compares the experience of the two countries, and draws conclusions on the types of policy frameworks and institutions that might lead to a more equitable pattern of growth.